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The Elasticity of the Migrant Labour Supply: Evidence from Temporary Filipino Migrants

Author

Listed:
  • Simone Bertoli

    (CERDI - Centre d'Études et de Recherches sur le Développement International - UCA [2017-2020] - Université Clermont Auvergne [2017-2020] - CNRS - Centre National de la Recherche Scientifique)

  • Jesús Fernández-Huertas Moraga

    (UC3M - Universidad Carlos III de Madrid = University of Carlos III of Madrid)

  • Sekou Keita

    (CERDI - Centre d'Études et de Recherches sur le Développement International - UCA [2017-2020] - Université Clermont Auvergne [2017-2020] - CNRS - Centre National de la Recherche Scientifique)

Abstract

The effect of immigration on host and origin countries is mediated by the way migrants take their labour supply decisions. We propose a simple way of integrating the traditional random utility maximisation model used to analyse location decisions with a classical labour demand function at destination. Our setup allows us to estimate a general upper bound on the elasticity of the migrant labour supply that we take to the data using the evolution of the numbers and wages of temporary overseas Filipino workers between 1992 and 2009 to different destinations. We find that the migrant labour supply elasticity can be very large. Temporary migrants are very reactive to economic conditions in their potential destinations.

Suggested Citation

  • Simone Bertoli & Jesús Fernández-Huertas Moraga & Sekou Keita, 2016. "The Elasticity of the Migrant Labour Supply: Evidence from Temporary Filipino Migrants," Post-Print hal-01687503, HAL.
    • Handle: RePEc:hal:journl:hal-01687503
    DOI: 10.1080/00220388.2016.1219347
    as

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    Cited by:

    1. Caballero, María Esther & Cadena, Brian C. & Kovak, Brian K., 2023. "The international transmission of local economic shocks through migrant networks," Journal of International Economics, Elsevier, vol. 145(C).
    2. Parag Mahajan & Dean Yang, 2020. "Taken by Storm: Hurricanes, Migrant Networks, and US Immigration," American Economic Journal: Applied Economics, American Economic Association, vol. 12(2), pages 250-277, April.
    3. Caselli, Mauro & Traverso, Silvio, 2025. "Under Pressure: Trade Competition from Low-Wage Countries and Demand for Immigrant Labor in Italy," GLO Discussion Paper Series 1562, Global Labor Organization (GLO).
    4. Sy, Deborah Kim & Hosoe, Nobuhiro, 2023. "Consequences of a minimum wage increase in a migrant-sending country," Economic Analysis and Policy, Elsevier, vol. 80(C), pages 1057-1066.
    5. Fernández-Huertas Moraga, Jesús, 2025. "The Second Spanish Immigration Boom," IZA Discussion Papers 18185, Institute of Labor Economics (IZA).
    6. Bossavie, Laurent & Görlach, Joseph-Simon & Özden, Çaglar & Wang, He, 2025. "Temporary migration for long-term investment," Journal of Development Economics, Elsevier, vol. 174(C).
    7. Gröger, André, 2021. "Easy come, easy go? Economic shocks, labor migration and the family left behind," Journal of International Economics, Elsevier, vol. 128(C).

    More about this item

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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